Morningstar ups PT on Australia's Reliance Worldwide on stable earnings outlook

Reliance Worldwide

30/05/2024 21:02

** Analysts at Morningstar see Reliance Worldwide
Corporation's  RWC.AX  earnings to not be as cyclical as new
housing construction
    ** Brokerage raises its price target for plumbing and
heating solutions company by 33% to A$5.60/shr
    ** Morningstar says about three-fourths of RWC's revenue
comes from repair, maintenance and renovation category, which is
less exposed to the ups and downs of the housing market
    ** "We assume Reliance increases pricing broadly in line
with inflation, with volume gains to rise with household demand
for repairs and renovations" - Brokerage
    ** 15 of 16 analysts rate the stock "buy" or higher and one 
"hold"; their median PT is A$5.48 – LSEG data
    ** Stock up 9.3% YTD, as of last close



 (Reporting by Aaditya Govind Rao in Bengaluru)
 ((Aaditya.govindrao@thomsonreuters.com;))